Response of Pacific Northwest irrigated agriculture to rising electricity prices

Thesis/Dissertation · Mon Jan 01 04:00:00 EST 1990

OSTI ID:5483791

Majoro, M

This study examines how the irrigated agriculture sector will respond in the short run (3-4 years) if faced with rising electricity costs. The analysis includes estimation of the price elasticity of demand for electricity by irrigators. It also describes the impacts of energy price changes on aggregate input use and farms incomes. Linear programming is used to model the response to rising energy costs on farm types representative of farming practices and conditions in different production areas throughout the region. In the short run, farmer responses considered include change in crop mix, adjustment of water application levels, improved irrigation efficiency, and the removal of land from production. The formulation of this programming model allows for simultaneous consideration of trade-offs among irrigation efficiency, labor input, water application level, and the use of electricity for irrigation. Price elasticities of demand are calculated for three ranges of percentage price increases: 0 to 33%, 34 to 67% and 68 to 100%. The estimated arc elasticities indicate that the demand for energy by irrigators is inelastic.

• Research Organization: Washington State Univ., Pullman, WA (United States)
• OSTI ID: 5483791
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200* -- Energy Planning & Policy-- Economics & Sociology
292000 -- Energy Planning & Policy-- Supply
Demand & Forecasting
AGRICULTURE
DEMAND
DEVELOPED COUNTRIES
ECONOMIC ELASTICITY
ELECTRIC POWER
FEDERAL REGION X
INDUSTRY
IRRIGATION
NORTH AMERICA
OREGON
POWER
POWER DEMAND
USA
WASHINGTON